Rushcliffe Borough Council

1. 10 July 2013 Neil Clarke, Leader Rushcliffe Borough Council – Growing a social franchise

2. Introduction • Background – drivers for change • Our approach – planned and considered • Growing Streetwise into a social franchise • Lessons learnt from our journey so far • Group discussion and feedback

3. Drivers for change • The challenge faced by many councils and elected Members • Reducing costs (2.8 million) • Maintaining the quality of service • Providing a sustainable future for current employees • Contributing to the local economy

4. Our Approach – the 4 year plan • Proactive approach – service reviews to consider ‘doing it differently’ and alternative delivery models • Production of a ‘Four Year Plan’ to manage the funding gap over the four years by: • Cost reduction • Income maximisation • Service Redesign • Established a Transformation team to help drive the change agenda

5. The future of service delivery Transition Support / Profit Share Social Enterprise / Cooperative Direct Provision Support / Merger and Growth Contracted Service Investigate / Procurement Investment / Profit Share Efficiencies and Service Standards

6. Looking at private sector business models

7. Looking at private sector business models All of the brands are franchises Offering consistent quality, service, pricing and environment

8. Emerging service delivery models Social franchising is the use of a commercial franchising approach to replicate and share proven organisational models for greater social impact

9. Taking care of grounds maintenance and street cleansing in the Borough • 30 years experience of caring for the Borough • Highly skilled workforce with a can do attitude

10. Why transform Streetwise? • Existing quality service, with strong local brand and potential to grow • Opportunity to do it differently • Empower staff to have a greater say in their destiny • Retain social values, but with a more commercial approach • Greater freedoms to make decisions, trade, market and innovate • Develop the brand and services

11. How? – My perspective • Established cross party member group – overseeing the review: • Appointed Cabinet Member to lead • Workshop to identify Members’ individual strengths and commercial experience • Member development programme e.g. social franchising & business case assessment • Addressing Member concerns – becoming more commercial • Portfolio holder briefings

12. How? • Review explored options of reducing costs, generating income or ‘doing things differently’ • High level of staff engagement in process • Phased approach with review gate at each key stage

13. The journey so far • Identifying the skills and knowledge gaps • Getting the right advice • Establishing the governance structure • Stakeholder engagement and support • Changing the culture • Developing the offer • Testing the concept - dipping our toe in the market

14. Streetwise Evolution • Step 1Council Enterprise • Step 2Social Enterprise Rushcliffe BC Other clients Other clients

15. Proposed Business Model Step 3Social Franchise Franchisee Other clients RBC Franchisor Business Unit Other clients Franchisee Other clients

16. Conclusions • At present our key focus is on… • Workforce challenge – culture and Ts&Cs • Procurement challenges • Local economy – opportunity to grow • Element of risk and reward for the Council • Council – secure financial return? • We’re excited about the potential to do something different and show other councils opportunities to develop.

17. Questions • Any questions?

18. Discussion • Discussion topic: • What are the key issues for councillors when considering alternative service delivery models? • 10 minute discussion in your groups, followed by feedback

19. Discussion • Discussion topics: • How are you driving innovation and development within your authority? • 5 minute group discussion followed by feedback